Jefferson County auditors report treasurer declined meetings; IRS penalty of $1,099.99 sustained

Elected county auditors reported to the Board of Commissioners that they have been conducting a review of county financial systems and controls but have been unable to obtain cooperation from the treasurer's office.

Edward McGinnis, speaking for the elected auditors, said auditors met with many department managers over the past two months and found useful information, but the treasurer "refuses to meet" and has declined to allow the deputy treasurer to meet with auditors. McGinnis said the auditors want to review the treasurer's operations to assist with efficient, timely and transparent handling of taxpayer funds.

On a related financial topic, county staff reported the county received official notice from the Internal Revenue Service that it assessed a failure-to-pay penalty and interest for a past remittance issue, and the total amount due is $1,099.99. When asked whether relief from the penalty was possible, county staff said the IRS indicated the penalty would be sustained and a follow-up letter would be sent.

The auditors said they will continue their review of other county departments while continuing efforts to secure a meeting with the treasurer; the treasurer reportedly told auditors that meeting would not be convenient until mid- to late May and that the deputy treasurer would not participate.

Why it matters: auditors' access to the treasurer's office is central to completing a countywide financial review and to public accountability; the IRS assessment and the outstanding remittance question raised earlier in the meeting are fiscal issues with tangible, though limited, financial consequences for the county.